Cardiol Therapeutics has entered into a bought deal financing agreement with Canaccord Genuity Corp. as sole underwriter and bookrunner, under which the underwriter will purchase 10,384,616 units at CA$1.30 per unit for aggregate gross proceeds of CA$13.5 million. Each unit comprises one Class A common share and one-half of a warrant, with each whole warrant exercisable to acquire a common share at CA$1.75 for 24 months from issuance. The underwriter also holds an option to purchase up to an additional 1,038,462 units (10% of the base offering) at the same terms, for potential incremental proceeds of CA$1.35 million, exercisable up to 48 hours before closing.

Cardiol intends to deploy net proceeds to advance its pipeline of anti-inflammatory and anti-fibrotic therapies, including ongoing Phase III and earlier clinical trials, as well as general and administrative expenses and working capital. The offering is subject to TSX and other regulatory approvals, negotiation of a formal underwriting agreement and, for the tranche conducted under the Listed Issuer Financing Exemption, closing no later than 45 days from the press release. Upon closing, the underwriter will receive a 6% cash commission on gross proceeds.

Cardiol’s lead candidate, CardiolRx™, is in a pivotal Phase III MAVERIC trial for recurrent pericarditis following a successful Phase II pilot, and has orphan drug designation from the U.S. FDA. The ARCHER program’s Phase II results in acute myocarditis demonstrated favorable safety and tolerability profiles. In parallel, the company is advancing CRD-38, a subcutaneous formulation targeting inflammatory heart disease and heart failure—conditions responsible for over US$30 billion in annual U.S. healthcare costs. The financing strengthens Cardiol’s balance sheet to support late-stage development milestones and potential regulatory filings.